The Federal Government has issued a stern warning to contractors of the various housing projects under the Renewed Hope Housing Estates and Cities initiative nationwide about Economic and Financial Crimes Commission (EFCC) action on substandard work and abandoning projects.
Minister of Housing and Urban Development, Arc Ahmed Musa Dangiwa, emphasized this during the launch of a 250-unit Renewed Hope Housing Estate in Warri, Delta State, as reported on the Ministry’s website.
Dangiwa stressed that contractors must adhere to building specifications, warning that failure to meet obligations after receiving government funds will lead to legal measures, including EFCC involvement.
“I want to charge the developers of all the Renewed Hope Cities and Estates across the States to ensure that they build according to specifications.
“I want to emphasize in very strong terms that we will not tolerate substandard work from any developer, and we will explore all necessary legal means, including the EFCC, to ensure that they deliver as per the contract. If you collect government money, you must do the work,” Dangiwa stated.
The statement also noted that the minister instructed developers to complete their projects within the specified three-month timeline to ensure that the process for locals to purchase and move into the houses can start promptly.
More insight
The launch of the 250-unit housing project in Delta State marks the ninth location under the Federal Government’s initiative to provide affordable housing and reduce the housing gap. Construction will soon begin in three more states, totalling thirteen under phase one of the Renewed Hope Cities and Estates program.
These states include Kano, Katsina, and Sokoto (North-West); Gombe and Yobe (North-East); Ebonyi and Abia (South-East); Akwa Ibom and Delta (South-South); Osun and Oyo (South-West); and Benue and Nasarawa (North-Central).
The goal for phase one is to deliver 50,000 houses, funded by the N50 billion 2023 supplementary budget. States not included may join in 2024 if they provide land at no cost to enhance affordability.
What you should know
- President Bola Tinubu’s administration launched the Renewed Hope Cities and Estates program to address Nigeria’s housing deficit by building 1,000 units in each of the 36 states and 4,000 in the Federal Capital Territory.
- The first phase of this initiative began in February with 3,112 housing-unit project in Karsana, Abuja, and the goal one is to deliver 50,000 houses nationwide.
- This initiative aims to enhance inclusivity by providing diverse affordable homeownership options, including mortgage loans with single-digit interest rates and terms up to 30 years, rent-to-own plans with flexible payment options, and outright purchases for high-income buyers.
- Operating as a cross-subsidy scheme, 80% of the units will be sold at market rates, while the remaining 20% will be offered at concessional rates to low- and middle-income Nigerians associated with the Nigeria Labour Congress and the Trade Union Congress.
